Tony got absolutely slapped by whiplash in their first fight until he toughed through the shocks to beat his human body up. Later in the film, when it's a superior MK, he gets stomped on again by whiplash even with war machines help. Just cause whiplash was training to kill Tony doesn't mean it's a skill feat for barely beating him, especially since Whiplash didn't even want to particularly kill him at that point in time, just show the world he's not invincible and can be beaten.
Bakugo literally obliterated dozens of villains way back in the first arc of the series, number of opponents doesn't matter. Against whiplash, he literally got tossed around like a child. Bakugo beats down super powered foes that can harm him on the regular.
IM's flight is not such an advantage over Bakugo's version of psuedo flight that he isn't going to be touched, you're horrendously exaggerating the difference between the two. Bakugo can follow Iron Man into the sky if he wants and maneuver mid air even better than on the ground with his rapid, near instantly direction changing explosions. Even with homing attacks, Bakugo can just change his direction and blow them up while they circle around to hit him from behind, or blow them up before they even reach him.
You act like Bakugo can't fight or change direction mid air when that's literally all his psuedo flight is. Rapidly changing direction while speed amping forward, attacking at the same time as well. Stop downplaying his psuedo flight like it is worthless, it's definitely enough to keep up with Iron Man and deal with his missiles.
The size of the missiles is not an advantage, MHA characters already can react to and dodge bullet sized projectiles easily, Iron man's won't be any different, especially when his suit makes very obvious changes when it's going to do something. You think Bakugo won't notice panels opening on the suit before missiles fly out of them? Or that his hand lights up when it points at him? Iron Man has many cues for when he's going to attack that Bakugo would pick up on instantly.
Also, you think Bakugo can't stop them unless he's anticipating them? So you admit that he will never get hit by the missiles after the first time? Because those missiles aren't enough to beat Bakugo from a single pass, and Iron Man not only has a limited supply of missiles, his arc reactor is on a timer as well, which should be far inferior to Bakugo's stamina. Bakugo literally tanks explosions every single time he uses his quirk, missiles are, if anything, the one thing he absolutely can deal with.
Bakugo can blow the missiles up from afar with just his standard ranged explosions, AP shot is just more likely to hit more of them. Stun Grenade is something Iron Man has absolutely no counter to, and let's Bakugo get a free hit to bring Tony back to the ground, or to start breaking his armor with direct AP shots. Bakugo's AP amps just mess Tony up even more, as he cant escape the AoE of his gauntlets, howitzer impact or serious explosions.
Also, Tony fights cqc a lot in these Marks, which he loses in hard vs Bakugo.
If he upscales, he would be High 8-C. If so, I'll just change this to High 8-c versions for both. That would at least be consistent with the Deku match going on, and would give Tony a few more abilities while staying fair.